You Think You've Found The One...Here Is What To Ask Your Agent Next

Don't be fooled by the shiny countertops and gleaming floors. This is the biggest investment of your life, so ask the questions that matter.

How long has the home been on the market?

If it's been sitting on the market for a really long time, or if the seller has a hard deadline for closing (like relocation), the buyer could have an advantage in negotiations. That rule does not always apply, as every seller has different motivations for selling, but sometimes it holds true and could give the buyer a little bit of wiggle room.

Are there any local major developments happening nearby?

That quiet vacant lot beside or behind the home that you've been eyeing could have been rezoned for a park, a commercial building, or a condominium apartment that could affect resale value. 

What are the demographics/neighbours like?

There are many things that could factor into the lifestyle you may want to lead: how many rental homes are in the area, is there a school very close by, what is traffic like on the street during the busier hours, 

What is the age and condition of the HVAC, roof, electrical panel and plumbing?

These are the most expensive things to replace. If the roof is 17 years old, you should start budgeting $10-20,000 for a replacement fairly soon. 

Are there any rental items in the home that will add to the monthly costs? Don't miss the Pro Tip*

It is very common for home owners to rent their hot water tanks (typically costs from $20 to $45 a month). The upside of renting is that if anything goes wrong with the tank, you are covered from repairs to replacements. The downside is that over the lifetime of the tank, you will be paying way more than it's worth. The reason it is so common is that the monthly cost is so low, that it's hard to turn down the convenience of having any issues covered over having to pay a surprise repair bill. Sometimes, we will see that owners have opted to renting the furnace and/or air conditioner, for the same reasons as the hot water tank. The issue with this is that the monthly cost is much higher than it is for the hot water tank, and you will be paying way more over time than if they were purchased outright. 

*Pro Tip: If you're thinking of writing an offer on a home where the furnace/AC are rentals, have your agent make the offer conditional on the sellers buying out the contract prior to closing, and providing the proof that it was completed. This move could save you thousands. 

Was this structure completed with permits?

While those upgrades or new deck look great, if they were done without a permit, the city can force the new owner to tear them out or pay massive fines to bring it up to code. 

What do you think would be a good offer and why?

This is a tricky one for both agents and clients, and the main reason is that we almost never know a home seller's motivation. With that said, we have tools at our disposal to look at the property's history, how long it's been on the market, has it ever had an accepted offer fall through (the shorter the time from conditionally sold to back on market would mean it was likely due to financing or home inspection)

If buying a condo: What are the rental and pet restrictions?

This is important if you're thinking about investing (for either short- or long-term rental purposes) or if you have a pet or are allergic to dogs or cats.

If buying a condo: Have there been any recent special assessments?

If the board needs to fix a major component of the building or its amenities, but doesn't have enough funds in the reserve, they will issue a "special assessment" that each owner is responsible for contributing to. An assessment could be a few hundred a month for a fixed term or a lump sum in the thousands.